Can We Chat About WeChat?

What is the appeal of a super app, and why don’t we have one in the US?

People putting apps on a cell phone
Image Courtesy of AdobeStock.com

Before this course, the first time I learned about WeChat was when the Trump administration announced they were banning WeChat and TikTok in August 2020.  And honestly, I had kind of forgotten about it since then. 

But WeChat (or Weixin as it is called in China) is a fascinating example of a super app, largely considered to be a mythical beast that will never be seen in the United States.  And I wanted to know why that is. 

However, before we delve into that question, it would be helpful to understand what exactly Weixin/WeChat is, and why it is such a popular social media platform in the first place.

The Weixin/WeChat App

Weixin is an all-in-one platform that combines the functionality of multiple apps into one, allowing users to text, search the internet, and even make purchases all right on the app.  Because all these functionalities are contained within the app, users never need to leave it. For the over 300 million users of Weixin in China, Southeast Asia, and other countries, Weixin has become an essential part of their everyday life, seamlessly integrating these multiple media outlets into one without ever needing to stop and search or switch apps.

Outside of China, the app is called WeChat.  It is a primary communications vehicle for the Chinese immigrant and student community outside of China, connecting to their community and their culture. 

What makes Weixin so popular?

At its heart, Weixin is a communications app.  Targeted to young, urban smartphone users, the key benefit to the Weixin user is reducing “search cost” – the time spent searching for and accessing information on their phone. Weixin features a simple, straightforward interface that is easy to navigate and use.

The app has texting, chatting and photo sharing features, like many other messenger apps.  However, Weixin is much more than just a messenger app.  In addition to the added functions like web search, shopping, and payment, and even cab hailing, Weixin added culturally specific functions like the Red Envelope feature, which allows users to participate in a treasured Chinese tradition remotely.  These functions bring its users back to the app multiple times during their day, gradually eliminating their users need to go anywhere else for this information. 

Are there other super apps in the world?

Yes!  Careem in the Middle East, and Rappi in Latin America provide similar functions for those parts of the world.  These types of super apps do especially well in regions with where there are infrastructure gaps in technology, so that mobile technology is the first and primary way that the internet is accessed in these areas.  This is especially important with banking and payment functions.  In the United States and Europe, mobile banking has lagged behind other methods simply because there are so many other options. 

So, we won’t be getting a super app in the United States?

Sadly, it doesn’t seem likely  While some companies have tried variations of it, none have been able to provide the same full functionality that makes Weixin so valuable to their users.  And while I’m sure there are several companies that would love to develop a solution like this, it would most likely require the acquisition of multiple existing independent companies and apps and bringing together user data under a single umbrella.  Current privacy regulations in both Europe and America are designed to encourage competition to avoid this type of situation, believing the data is safer when it is fragmented.   

So, while super apps may be growing in other parts of the world, it is likely that they will remain only a myth in the United States.  And honestly, I think I am okay with that.

2 responses to “Can We Chat About WeChat?”

  1. wsirls Avatar

    Stacey,

    Great post and an awesome title!

    Right from the get-go, you raise an interesting question … why don’t we have a super app like this in the USA? In addition, I found it interesting that there are similar apps, such as Careem and Rappi. It almost makes one wonder if there are similar opportunities in other parts of the world.

    In terms of why we don’t see a similar app in the USA, I guess I understand it when you mention that, “Current privacy regulations in both Europe and America are designed to encourage competition to avoid this type of situation, believing the data is safer when it is fragmented.”

    As much as competition can keep prices down for consumers, the concept reminds me a little bit of the anti-trust suit against AT&T back in the 80’s when they broke the company up into regional companies or “Baby Bells.”

    Yes, prices stabilized which protects consumers … but is it fair to the company that built the empire and a slap in the face to both capitalism and the American Dream?

    Like

  2. dsandford15 Avatar

    Hi Stacey,

    This was a great blog. It was easy to follow and understand. Your title was very catchy! I like how you link Weixin to other great apps around the world. I like your paragraph regarding the US getting an app like Weixin. This post “pops’ and is enjoyable to look at. I was wondering how the US could pull something like that off and I just feel like we can’t have it here because of how many different options there are out there. Also, all-in-one apps are tough in a country like ours where there are so many different opinions and views thanks to freedom of speech. Again, great blog post!

    -Dan

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